The ability to generate profits through the 340B program prompts hospitals to buy physician practices and shift delivery of care to more costly hospital outpatient settings, driving up drug costs for patients and employers, Pharmaceutical Research and Manufacturers of America (PhRMA) says in a new report. The American Hospital Association (AHA) called the report “a misguided attack” on 340B.
PhRMA’s new paper, released Feb. 4, is a sequel to its 2017 report about how actors in the pharmaceutical supply chain other than drug manufacturers affect drug costs. The first paper looked at the roles played by wholesalers, pharmacies, pharmacy benefit managers (PBMs), and health plan sponsors.
The ability to generate profits through the 340B program prompts hospitals to buy physician practices and shift delivery of care to more costly hospital outpatient settings, driving up drug costs for patients and employers, Pharmaceutical Research and Manufacturers of America (PhRMA) says in a new report. The American Hospital Association (AHA) called the report “a misguided attack” on 340B.
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